2025-2034 Managed IT Infrastructure Services Market Outlook: Key Drivers, Emerging Challenges, and Strategic Insights

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What Will the Managed IT Infrastructure Services Industry Market Size Be by 2025?
The market size for managed IT infrastructure services has seen significant expansion over the past few years. Expectations are for it to increase from $119.17 billion in 2024 to $132.19 billion in 2025, indicating a compound annual growth rate (CAGR) of 10.9%. This substantial growth during the historic period is due to the escalating complexity of IT environments, strategic cost optimization, emphasis on fundamental competencies, growing concerns over cybersecurity, and the need for scalability and flexibility.

What's the Long-Term Growth Forecast for the Managed IT Infrastructure Services Market Size Through 2029?
The market size for managed IT infrastructure services is anticipated to experience a rapid expansion in the upcoming years. The projections suggest a growth to $204.81 billion by 2029, with a compound annual growth rate (CAGR) of 11.6%. The anticipated growth within the forecast period is due to factors such as the expansion of edge computing, adoption of the cloud, regulatory compliance necessities, data governance and management, and changes brought about by the pandemic. The forecast period also expects to observe significant trends including increased access to genetic testing, a surge in preventative measures, the rise of personalized treatment strategies, advancements in non-invasive screening, and the introduction of supportive therapies.

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What Are the Key Growth Drivers Fueling the Managed IT Infrastructure Services Market Expansion?
The growth of the managed IT infrastructure services market is expected to be driven by the increased usage of the Internet of Things (IoT). IoT is a network system consisting of interconnected computing devices, mechanical and electronic machines with distinctive identities (UIDs), having capabilities to transfer data without the requirement of human-to-human or computer-human interaction. Managed IT infrastructure services contribute towards managing the IoT infrastructure's scalability and complexity by providing scalable software infrastructure, device management, improved security, and data management for IoT environments. For instance, a report by Ericsson, a Swedish telecommunications firm, revealed in September 2022 that the number of global IoT connections stood at 13.2 billion in 2022 and was expected to rise by 18% to 34.7 billion connections by 2028. Consequently, the increased adoption of IoT is fueling the expansion of the managed IT infrastructure services market. The uptake of cloud services, which offer an amalgamation of computation, storage, and network infrastructure for quick application creation and dynamic scaling, is set to further boost the managed IT infrastructure services market's growth. The shift towards managed IT infrastructure services has become increasingly popular as it offers access to a larger global market, enables scalability, provides easier access to subject matter experts, reduces costs, and allows resources to concentrate on core business growth. Moreover, a Google report titled "2022 State of DevOps Report" highlighted that in 2022, there was an increase in users reporting the use of several public clouds - from 21% in 2021 to 26% in 2022. Furthermore, the use of hybrid clouds jumped from 25% to 42.5%. As a result, the growing use of cloud services is pushing the growth of the managed IT infrastructure services market.

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What Are the Key Trends Driving Managed IT Infrastructure Services Market Growth?
Leading firms in the managed IT infrastructure services market are prioritizing the creation of progressive solutions like cloud-delivered managed security solutions to enhance their market income. Cloud-delivered managed security solutions are cloud-managed security technologies and services designed to safeguard essential infrastructure and data from cyber threats. For instance, Juniper Networks Inc., an American networking products developer and marketer, unveiled a cloud-delivered security solution called Juniper Secure Edge in February 2022. Using this novel solution, businesses can secure their workforce regardless of their location by offering firewall-as-a-service (FWaaS) in a singular software architecture. This solution's paramount features consist of unified policy management from a single user interface for all security use scenarios. This includes dynamic zero-trust segmentation, investment protection, compatibility with every identity provider, and proven security effectiveness. The solution guarantees a standard security policy infrastructure with policies that dynamically adapt to new risks and attack vectors which can follow users regardless of their location. Workers and external contractors receive automated access restrictions through precise policy management.

Pioneering AI-Driven Managed Services Improve Efficiency in IT Infrastructure Management

Leading firms in the managed IT infrastructure services market are channeling their efforts into inventing unique solutions like AI-driven managed services to offer organizations a reliable and cost-effective tool for efficient IT infrastructure management. AI-driven managed services are services where IT operations and tasks are outsourced to third parties that utilize artificial intelligence to automate processes, heightening efficiency and bettering service delivery across different business operations. For example, Happiest Minds Technologies Limited, an Indian IT service firm, launched an AI-integrated managed service offering named WATCH360 in July 2024. This service is designed to help organizations manage their IT infrastructure effectively, providing dependable around-the-clock IT management using machine learning for accurate, real-time insights and automation - consequently boosting operational efficiency and lowering expenses. WATCH360's unique feature is its capacity to act as a single point of contact for all IT requirements, covering data centers, public clouds, and branch infrastructure. It thereby establishes a reliable and safe environment for its clients.

How Is the Managed IT Infrastructure Services Market Segmented?
The managed IT infrastructure services market covered in this report is segmented -

1) By Service Category: Virtualization, Networking, Storage, Servers
2) By Deployment Mode: On-Premises, Cloud
3) By Enterprise Size: Small And Medium Enterprises, Large Enterprises
4) By End User: IT And Telecommunication, Retail, Transportation And Logistics, BFSI (Banking, Financial Services, And Insurance), Manufacturing, Other End Users

Subsegments:
1) By Virtualization: Server Virtualization, Desktop Virtualization, Application Virtualization
2) By Networking: Managed Network Services, Network Security Services, WAN Optimization Services
3) By Storage: Managed Storage Solutions, Backup And Disaster Recovery Services, Cloud Storage Solutions
4) By Servers: Managed Server Hosting, Server Maintenance And Support, Dedicated Server Services

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Which Companies Are Leading the Charge in Managed IT Infrastructure Services Market Innovation?
Major companies operating in the managed it infrastructure services market report are Microsoft Corporation, Verizon Communications Inc., AT&T Inc., Dell Inc., Lenovo Group Ltd., accenture* PLC, International Business Machines Corporation, Cisco Systems Inc., Fujitsu Limited, Canon Inc., Hewlett Packard Development Company L.P., Toshiba Corp., Tata Consultancy Services Ltd., Telefonaktiebolaget LM Ericsson, Nokia Corporation, NEC Corporation, Capgemini America Inc., NTT Ltd., Cognizant Technology Solutions Corp., Infosys Limited, DXC Technology Corporation, Atos SE, Wipro Ltd., HCL Technologies Limited, CGI Group Inc., Xerox Holdings Corp., Rackspace Inc., LTIMindtree Limited, Unisys Corporation, Cybernet Software Systems Inc., Happiest Minds Technologies Limited

Which Regions Are Leading the Global Managed IT Infrastructure Services Market in Revenue?
North America was the largest region in the managed IT infrastructure services market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the managed it infrastructure services market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

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